As commercial damages consultants, one question we are always asked when meeting with a potential new client is “What are your hourly billing rates?” It is certainly a reasonable inquiry, and we dutifully provide the answer. In many instances, a “go/no go” decision may be reached right then and there, as the client may only view the choice of an expert as a litigation accessory or option. However, such thinking does not allow for an assessment of the benefit side of what is really a value proposition. In this article, we discuss avenues of inquiry that can be explored to identify factors or traits that, along with the cost of retention, can yield a more informed decision.

Some damages experts describe themselves as specializing within specific industries, such as a construction damages expert. Others self-identify based on the type of damages analysis they typically perform such as intellectual property or labor. However, many experts are afraid to identify themselves as “generalists,” fearing they will be viewed as not having much expertise in any particular damages area. However, using a seasoned generalist damages expert can offer a number of benefits for the client and their outside counsel. Some of these benefits include the following:

Prejudgment interest is a form of compensation that seeks to convert financial harm suffered by a party in the past to a present value as of the date a judgment is issued (if interest is an allowable remedy) or a settlement agreement is reached (if interest is part of the agreement). Prejudgment interest, along with damages analysis, aims to achieve the overarching objective of making the harmed party “whole” as measured by the financial impacts associated with the claimed bad acts of the other party.